Axis Bank Limited Vs National Commission For Scheduled Tribes & Ors (Delhi High Court)
The petition, W.P.(C) 16123/2025, was filed by Axis Bank Limited (the petitioner), seeking to restrain the National Commission for Scheduled Tribes (NCST or respondent no. 1) from proceeding with any investigation, inquiry, or action arising from a representation dated 10.02.2025, filed by respondent no. 2. The petitioner also sought the quashing of Summons dated 29.07.2025 and 06.10.2025, and an order dated 22.09.2025, all issued by the NCST.
Background
In 2013, the petitioner sanctioned a credit facility of Rs. 16,68,99,098.28/- to Sundev Appliances Ltd (respondent no. 3/borrower). An equitable mortgage was created on 12.12.2013 by the promoters of respondent no. 3 over a property in Vasai, Thane, Maharashtra (the “subject property”) as security.
Due to non-payment, the borrower’s account was declared a Non-Performing Asset (NPA) on 28.10.2017. The petitioner invoked Section 13(4) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act) to enforce its security interest and take possession of the mortgaged property.
Subsequently, the District Magistrate, Palghar, in Securitization Application no. 15/2024, ordered on 19.01.2024 to permit the petitioner to obtain physical possession of the subject property under Section 14 of the SARFAESI Act. A notice dated 11.07.2024 was issued by the Tehsildar and Executive Magistrate, Vasai, intimating that possession would be handed over to the petitioner between 08.08.2024 and 09.08.2024.
